Bandai Namco reports 188% growth in H1 video game profit, expects record full-year earnings

Bandai Namco has released its financial report for the first half of FY25 ended September 30, 2024. The company posted strong revenue and profit growth, thanks to the performance of its key franchises.

Gundam Breaker 4

Financial highlights

• According to its H1 presentation, Bandai Namco reached ¥611.3 billion ($3.96 billion) in net revenue, up 21.8% compared to the same period last year.
• Japan accounted for 69.5% of the total, followed by the Americas (10.5%), Europe (10.4%), and Asia (9.6%).
• Operating profit grew 73.6% year-over-year to ¥113.6 billion ($737.2 million).

• Mobile Suit Gundam was the best-selling IP in the first half of FY25, with ¥76.5 billion ($496.5 million) in revenue — up 5% year-over-year. It is followed by Dragon Ball (¥75.7 billion, +9.6%), One Piece (¥73.2 billion, +22%), Naruto (¥15 billion, +26.6%), and Kamen Rider (¥14.6 billion, +11.6%).
• Bandai Namco aims for record earnings for the full fiscal year ending March 31, 2025. It expects net sales of ¥1.15 trillion ($7.46 billion), up 9.5% year-over-year, and an operating profit of ¥160 billion ($1 billion), up 76.4%.

Bandai Namco’s video game business

• Net sales of the Digital Entertainment (video games) unit reached ¥228.5 billion ($1.48 billion), up 31.1% year-over-year. The segment’s operating profit was ¥44.7 billion ($290 million), up 188%.
• Network content (PC and mobile) revenue was ¥100.8 billion ($654.1 million), +6.6% year-over-year, while home console revenue grew 40.7% to ¥110.5 billion ($717.1 million).
• In H1 FY25, Bandai Namco sold 18.17 million units of console games (93 new titles in total), nearly flat compared to the same period last year.
• Back catalog sales amounted to over 15 million units, with digital copies accounting for 61% of the total.
• Europe was the number one region by copies sold, accounting for 43% of the total. It is followed by the Americas (33%) and Japan (24%).
• Bandai Namco cited Elden Ring, its Shadow of the Erdtree DLC (“favorable results,” 5 million units in three days), and Gundam Breaker 4 (“good start”) as the main drivers of video game revenue growth.
• Dragon Ball: Sparking! ZERO, launched after the end of Q2, should contribute to the company’s H2 results. The game sold over 3 million units in its first 24 hours, which the publisher called “outstanding sales.”